Nueva Vicentin Revives Mega Feedlot, Boosts Friar Meatpacking Plant with $4.27 Billion Aid

The Los Corrales de Nicanor feedlot, once nearly empty, is buzzing with activity again as Nueva Vicentin, now controlled by Grupo Grassi, implements a plan to revive its operations. The facility, with a capacity for 30,000 head of cattle, began receiving its first animals last Saturday. The initial goal is to reach 10,500 head within three months, with plans to eventually approach its full capacity.

This reactivation coincides with another significant move: Nueva Vicentin has agreed to provide $4.27 billion in financial assistance to the Friar Regional Meatpacking Plant. Company sources indicate this initiative is designed to restore a production circuit that historically integrated the cereal company's bioethanol plant in Avellaneda, the Los Corrales de Nicanor feedlot, and the Friar slaughterhouse.

Nueva Vicentin fully owns the feedlot, which had been leased to Friar. However, Friar's financial difficulties led to a steady decline in the number of animals housed at the feedlot, impacting Nueva Vicentin's revenue. The current plan aims to gradually increase the feedlot's stocking to 3,500 head per month over the next three months, eventually reaching 15,000 and then 30,000 head. Future infrastructure investments could even expand capacity to 50,000 head.

The primary destination for the cattle will be Friar, whose operational level and slaughtering capacity the financial aid is intended to support. Having an operational feedlot will also provide a stable supply of livestock for the plant, especially when adverse weather conditions make it difficult to source animals from ranches. The financial assistance, formalized on June 25, is earmarked for working capital, including raw materials, supplies, and social security payments.